Recently, the collaborative paper Self-Employment and Co-Villager Networks of Internal Migrants in China by Professor Ma Xiangjun, Vice Dean of the China Institute for Economic Research and Vice Dean of the School of Finance and Trade at Liaoning University, doctoral supervisor, has been officially accepted by the journal China Economic Review.

Abstract

This paper examines the impact of co-villager networks on the self-employment propensity of internal migrants in China. Using nationwide survey data, it first comprehensively describes the patterns and regularities of self-employment among migrants across different industries, provinces of origin, and individual characteristics. Then, employing the Spatial Autoregressive Model and Spatial Two-Stage Least Squares for empirical analysis, the study finds that migrants are more likely to become self-employed when more members of their co-villager networks are engaged in self-employment. This network effect is more pronounced when migrants interact more frequently with relatives and friends in their co-villager networks or have lived longer in the destination city. To further explore the heterogeneous characteristics of co-villager network effects across different dimensions, the paper also adopts the Causal Forest with Instrumental Variable method. It reveals that the most critical factor influencing co-villager network effects is network size, followed by spatial factors such as province of origin and destination city, and structural factors like industry and year. Additionally, networks that facilitate the transmission of professional knowledge by experienced co-villagers exhibit stronger effects, while those with intense internal competition show relatively weaker effects.

Journal Introduction

China Economic Review is a leading SSCI journal focusing on the Chinese economy, institutional reforms, policy performance evaluation, and China's economic relations with the world. It is the official academic journal of the Chinese Economists Society. The 2025 impact factor of the journal reaches 5.5.

Author Introduction

Ma Xiangjun is Vice Dean of the China Institute for Economic Research and Vice Dean of the School of Finance and Trade at Liaoning University, professor, and doctoral supervisor. She holds a Ph.D. in Economics from the University of Virginia and obtained her bachelor's degree from Renmin University of China. She has previously served as an associate professor at the University of International Business and Economics, an Economist/Manager of Transfer Pricing at Deloitte Tax LLP (Silicon Valley Office), a visiting scholar at the National School of Development, Peking University, and a seconded cadre at the Department of WTO Affairs, Ministry of Commerce. Her research interests include international trade, international taxation and multinational corporations, and applied microeconomics. Her papers have been published in top international journals such as the Journal of International Economics, and she has presided over youth projects funded by the National Natural Science Foundation of China and the Beijing Social Science Foundation. She teaches courses including International Trade, Microeconomics, and Principles of Economics, and has won numerous awards such as the Second Prize and Best Teaching Plan Award in the Beijing Young Teachers' Basic Skills Competition, the Excellent Teaching Award of the University of International Business and Economics, the First Prize in the Young Teachers' Basic Skills Competition, the Third Prize in the Microlecture Competition, and has been ranked among the top 10% in annual teaching evaluations for many years.